Incumbents increase foothold in the FTTP market

Published: 2012-07-10

Insight

This article aims to look at some of the top broadband markets in the world to explore how incumbents are positioned in the FTTP markets.

The countries considered are among the top broadband markets in the world in terms of the take up of broadband services, with household penetration rates typically at more than 60% at 1Q12. Lithuania is an exception, with only one out of four households connected to broadband. However, the country is included because it is known to have one of the highest take up of FTTP broadband services, even ahead of the more advanced European countries.

In markets such as Hong Kong, Japan, Lithuania and South Korea, FTTP is already the most dominant technology for broadband, accounting for over 50% of the total broadband connections. In Hong Kong, the FTTP market received a major boost from an alternative operator, Hong Kong Broadband Network (HKBN), who started offering FTTH broadband services to consumers through aggressive pricing strategies. Fibre already has a nearly nationwide coverage in Hong Kong. Price competition in the market is intense and deployments are purely market-driven.